CLH News #190 July 2016

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THE LEADING PUBLICATION FOR THE INDEPENDENT HOSPITALITY SECTOR

RETURN TO PROFIT Let us help you put your business back into profit We work “hands-on’ with you, in your business to:

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Maximise your Profit Margins Minimise your Operating Costs Resolve any Operational and Staff Issues Increase the Profit from your Business

We will tailor a package that is realistic and practical for your business

Please call David Hunter of The Bowden Group for an informal chat about how we can HELP YOU

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HOTELS, RESTAURANTS, PUBS & CATERING

www.catererlicensee.com

July 2016

Issue 190

BFFF Awards 2016

Product Portfolio

Hospitality Technology

Design and Refit

Property and Professional

Pages 22 - 23

Pages 23 - 24

Design and Refit

Pages 25 - 27

Pages 28 - 31

Pages 32 - 35

Pages 36 - 38

Brexit Vote Could Lead to Tourism Boost THE PROSPECT of favourable exchange rates as a result of the EU Referendum and a vote to leave could bring more visitors to the region – providing a much needed tonic for the leisure sector hoteliers and publicans.

That is the view of Hotels Director Peter Brunt of Colliers International, who says tourist areas could benefit from an increase in overseas visitors now the pound is more affordable for international tourists. Furthermore, UK tourists may choose to stay at home worried about the escalating costs of overseas travel Mr Brunt reported: “With a weaker pound we should see more tourists, both ‘staycation’ and from abroad. This has to be good news for locations like the South West peninsula and the Cotswolds. “The value of the British pound down relative to the U.S. dollar, making it likely that more U.S. travellers will also be visiting Britain to take advantage of the disparity.” Mr Brunt said he believed the hotel industry was unlikely to be significantly affected by the referendum decision for the UK to leave the EU. “The hospitality industry is in much better shape than it has been since before the downturn, with visits to the UK rising five per cent in the 12 months leading up to April,” he said. “I feel sure that this industry will remain resilient and the people of the UK, the market and financial institutions will get used to the idea that we have left the EU. “My gut feeling is that the immediate few days, are going to be the most unsettled for us. After that I believe that normal life will begin to return and my tone with buyers will remain upbeat and positive. Nick Varney, chairman of the British Hospitality Association (BHA), also believes that there

could be an increase in tourist numbers, speaking at a recent seminar told delegates in London they should “seize the opportunity” despite turbulence in the financial markets and consumer fears about Britain’s exit from the EU. Varney, also chief executive of Merlin Entertainments, said: “I think it is a good thing that the pound is devalued relative to the euro. If we had voted to remain, putting all other issues to one side, we would have been left with a very uncompetitive currency from the view of exporters and the tourism industry in general. What I think we have to do is lock that competitive advantage in so we get to sort of pickup with renewed vigour the whole argument for cutting tourism VAT on accommodation and on attractions.” Varney He added pound will encourage visitors and also exports will flourish.” Meanwhile, business economist Andrew Sentance of PwC said: “The travel and tourism industry is actually a big exporter but we are used to thinking of exports as goods and cars and things like that. “I think the travel and tourism industry can work with other service exporters, which include creative industries, business services, even the financial sector, to make the government aware that these service exporters are vitally important to the UK economy.” Ross Veitch, CEO and co-founder of travel search site Wego suggested that along with cheaper travel, Brexit will may also an impact on UK airports. He said, “The UK Pound has dropped 9.8 per cent, with the value of the pound to the dollar at 1.3415 in early trading since the referendum result has become clear, which means a UK holiday is going to be cheaper for most foreign tourists than it has been for about 20 years. In-destination trip costs such as accommodation, dining, entertainment and shopping will allow significantly better value for the foreign traveller after exchanging their local currency.” Hospitality and tourism is currently the fourth largest employer in the UK, with 10 per cent of the workforce employed in 180,000 hospitality businesses from independent restaurants to major hotel chains and visitor attractions. According to the BHA, the industry created almost 600,000 new jobs over the course of the last parliament, amounting to one in three of all new posts.

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CLH News #190 July 2016 by CLH News - Issuu